ISLAMABAD: After two days of losing value, the rupee recorded a marginal gain of 30 paisas against the
US dollar in the inter-bank on Friday.
As per the State Bank of Pakistan (SBP), the rupee settled at 214.65 against the US dollar after a gain of
Re0.30 or 0.14%.
On Thursday, the rupee registered a marginal decline of 7 paisas to settle at 214.95 against the US dollar
after a fall of Re0.07 or 0.03%, suggesting it has reached a short-term equilibrium.
Since July 28, the rupee had registered a significant recovery against the US dollar on positive
developments related to dollar inflows from the UAE, Saudi Arabia, and the International Monetary Fund
(IMF).
In a major development, the government appointed Jameel Ahmad governor of the SBP on Friday, taking
over the role from Dr Murtaza Syed who had been until then fulfilling responsibilities as the acting chief.
The appointment comes at a time when the Monetary Policy Committee (MPC) of SBP is scheduled to
meet on Monday, August 22, 2022 to decide on the policy rate.
Addressing a press conference, Federal Minister for Finance and Revenue Miftah Ismail on Thursday
announced that the government has decided to remove the ban on imports of all products, a restriction that
was imposed to control the outflow of dollars and arrest the rupee’s massive decline in value.
However, he added that regulatory duty would be imposed in such a fashion that these goods would not
enter Pakistan as finished goods.
“As it is a requirement of the international community, we will remove ban on all imports,” said Miftah.
The government also announced a ‘mini-budget’ with a heavy dose of taxes ahead of the IMF board
meeting scheduled on August 29.
Meanwhile, the SBP reported a slight increase in its foreign exchange reserves, which rose by $67 million.
However, they clocked in at still an alarming level of $7.9 billion as of August 12, 2022.
The low level of reserves has put the currency under pressure with the rupee hitting its all-time low in the
inter-bank market last month.